Welcome to year 5!
And we are off to a rip-roaring start after a fabulous month, where we barely touched the portfolio but we jumped to $167,849 – which is up $14,615 (9.5%) from our Aug 4th review and up 389% from our $700 start on Aug 25th, 2022. Even more amazingly, we are now averaging 95.36% annual growth, which means it will now only take us 2 years and 8 months (March, 2029) to get to our $1M goal!
This is the part where I usually warn that these are exceptional returns and very unlikely to keep going at this pace (and the markets are, in fact, dipping this morning) but we keep gaining more and more so let’s accentuate the positive and point out that, IF we keep going at the current pace – we will turn $167,849 plus $700 added each month – into $1,038,343.92 by March of 2029 – it’s like a magic trick!
In fact, while $14,615 seems amazing – it’s actually only slightly ahead of the $2,326/week ($9,304/month) we EXPECTED to make and it’s SLOWER than the $16,773 ($4,193/week) than our pace last month and THIS IS HOW WE TAKE THE TEMPERATURE OF OUR PORTFOLIO – you have to know your numbers or how will you know when things are going off track?
As I said last month:
“Everything is proceeding as I have foreseen… muhahahaha!!!“
I also said: “See, you don’t have to be the Dark Lord of the Sith to do this – it’s just math…” and it still is! If you CONTROL your portfolio and analyze each position and you KNOW how they should perform in a flat market or an up 20% or down 20% market – then you are not very likely to be surprised by the results, right?”
The coolest thing about this portfolio is we aren’t using margin. We started out with $700 and, each month, we put another $700 into the portfolio – which I know seems silly but, if we didn’t keep doing that, our March 2029 total drops to $957,395 so 32 x $700 ($22,400) less contributed leads to $80,948 less money in less than 3 years – THAT is the importance of SAVING MONEY!!!
These have, of course, been an exceptional 4 years but that video is about 12 years old now and everything I said then is true now – it’s never too late to start and the original goal of this portfolio was to make just 10-20% a year with no margin. I never expected it to go this well and I’d attribute it to a very strong market and, of course, our AGI Round Table – which is a game-changer for market research.
I’ve always been a great stock-picker and analyst (he said modestly) but now we have an army of researchers backing me up and they were all trained by me to be as good as me – only 1,000 TIMES FASTER! Our Members benefit from their analysis and wisdom every day and the AGI Team is available for hire for Consulting Work – which is building cash flow as they move towards their IPO but you get first crack at it here – while they are still humble.
Meanwhile, here’s our last year of reviews – in case you’d like to catch up:
-
- How to Become a Millionaire by Investing $700 per Month – Part 48/360
- How to Become a Millionaire by Investing $700 per Month – Part 47/360
- How to Become a Millionaire by Investing $700 per Month – Part 46/360
- How to Become a Millionaire by Investing $700 per Month – Part 45/360
-
How to Become a Millionaire by Investing $700 per Month – Part 44/360
-
How to Become a Millionaire by Investing $700 per Month – Part 43/360
-
How to Become a Millionaire by Investing $700 per Month – Part 42/360
- How to Become a Millionaire by Investing $700 per Month – Part 41/360
- How to Become a Millionaire by Investing $700 per Month – Part 40/360
- How to Become a Millionaire by Investing $700 per Month – Part 39/360
- How to Become a Millionaire by Investing $700 per Month – Part 38/360
-
How to Become a Millionaire by Investing $700 per Month – Part 37/360 – Year 4 Begins!
-
How to Become a Millionaire by Investing $700 per Month – Part 36/360 – 3 Years In!
Since last month, we’ve raised our CASH!!! position to $40,483 (24%) and we do have a nice hedge (SQQQ) but I’m VERY uncomfortable with the market and expect a 10-20% pullback in the next few months and that would suck – so I’m going to be very conservative in this review but, then again – I often say that but then our positions are so good that I can barely find anything to cut – so let’s see how it goes:
Bull Call Spreads: We were just yesterday, in our Live Member Chat Room, discussing why bull call spreads suck. They are BETS and we HATE betting. We like income-producing plays but, once in a while – a simple bet can be used appropriately. Still, they have to own their keep by remaining VERY LIKELY to pay off with enough REWARD to justify the RISK:
-
- HELE – We took this one way back in March and thought HELE was severely undervalued at $16.15 and now it’s $29.98 – so I guess we were right. It is now extremely safe-looking, at net $4,900 and it’s a $7,500 spread so we still have $2,600 (53%) left to gain – so there’s no sense in cashing it out. In fact, a trade that will make 53% in 16 months with a very high likelihood of success would be something most stock newsletters would feature on their front page all year – and here we are thinking of cutting it for underperforming our goal!
-
- SOFI – We just orphaned it by not selling new calls and I still think it’s too low. $17.66 is 21x forward earnings but the growth is spectacular and I think it should climb to 25x, which is up 20% so let’s say $21 so $20 is where I’d want to re-cover and that would confirm we’re on-track for our goal at $8,000 and the current net is $4,007 so $3,993 (99%) upside potential and the Jan $17s are $3 so I’m sure we’ll collect $2.50 ($750) for the Q and 4 more next year so let’s say another $1,000 (25%) of potential premium sales.
IN PROGRESS
